After a weak finish to its previous fiscal year, Volvo Construction Equipment has reported more declining net sales and equipment deliveries in its North American market in the first quarter of 2026.
North American net sales came in at $490 million in the quarter, down 14% year-over-year. Among Volvo CE’s major markets, only its European business reported net sales growth in Q1, up 23% to $851 million.
Net order intake in the first quarter within Volvo CE’s North American market was up 16% year-over-year to 1,887 machines, while the number of North American construction equipment deliveries fell 10% to 1,284 machines in the same period.
Volvo characterized the North American construction equipment market as showing good resilience, driven in part by data center and energy infrastructure projects.
Volvo’s global construction equipment net sales were down 16% in the first quarter to $1.6 billion. However, without the impact of Volvo CE’s divestment of its former Chinese subsidiary SDLG, global net sales of construction equipment were up 16% year-over-year.
Global adjusted operating income came in at $269 million, down 2% year-over-year.
Gains from a positive global product mix (more sales of high margin equipment) and improved service business were offset, according to Volvo CE, in part by net U.S. tariff costs. Volvo CE President Melker Jernberg said the company’s positive global product mix allowed it to gain market share for its haulers and large excavators.
Net sales in the first quarter for the entire Volvo Group, including Volvo’s trucking and bus segments, were down 9% year-over-year to just under $12 billion.
